Economic Refconstruction and GWERD Completion Key Tasks for Ethiopia
Addis Media Network-March 22, 2023
ETV Addis Dialogue-March 26, 2023
Watch my two interviews above.
Following the destructive two year war, Ethiopia needs to become unified with all citizens supporting the future of the Ethiopian nation state as one nation. The thorny issue of transcending ethno-nationalism and ethnic federalism must be undertaken with the expectation that it will be contentious and highly emotional.
However, we can look at two other policies that will help Ethiopia overcome the nation’s current acrimony. One is to launch a massive inclusive economic reconstruction program that will satisfy the economic needs of all its citizens. I estimate a $50 billion price tag to rebuild and expand all features of infrastructure, industry, and agriculture. Secondly, the completion of the Grand Ethiopian Renaissance Dam will cause a resurgence of the patriotic spirit comparable to that of the victory of Adwa.
The administration of President Joe Biden, has launched what is being called a “charm offensive” with several high level government officials visiting the African continent this year. It is well known in Washington and across Africa that the underlying purpose of the density these visits is to counter China’s influence in Africa primarily, and secondarily that of Russia. However, these well publicized visits to the continent lack real substance. Also, factions of the administration and the State Department are still determined to pursue their agenda of so called human rights, democracy, and good governance, without any concern to reversing the deplorable conditions of life for hundreds of millions of Africans.
If the current U.S. government and U.S. Congress are truly interested in promoting democracy, and human rights, rather than lecturing African nations, they should provide economic assistance to advance development, beyond simply distributing aid. The most effective means to respond to China’s economic influence on the continent is for the U.S. government to issue long term-low interest loans for vital and lifesaving infrastructure. This policy of issuing government backed credit or public sector investment for essential infrastructure is not novel. It was how the U.S. developed our national economy under the leadership of such geniuses as Alexander Hamilton, and Presidents Abraham Lincoln, and Franklin Roosevelt.
For example, compare U.S. leadership for Africa 60 years ago to that of today. Vice President Kamala Harris while she is in Ghana, is enjoying many photo opportunities while offering $100 million to all of West Africa. Six decades earlier, President John Kennedy collaborated with Ghanaian President, Kwame Nkrumah, to construct the Volta Dam energy and aluminum smelting complex. For the U.S. governement to supportively impact Africa, and Ethiopia in particluar, it should reject the dictates of the “human rights mafia” and return to our better days of US-Africa foreign policy.
Lawrence Freeman is a Political-Economic Analyst for Africa, who has been involved in economic development policies for Africa for over 30 years. He is a teacher, writer, public speaker, and consultant on Africa. He is also the creator of the blog: lawrencefreemanafricaandtheworld.com. Mr. Freeman’s stated personal mission is; to eliminate poverty and hunger in Africa by applying the scientific economic principles of Alexander Hamilton
In this interview, I explain the strategic importance of the African continent for the global economy in this century. I advocate for a complete reversal of U.S. policy or Africa. It is past time for the U.S. to stop complaining about China and correct our own foreign-economic policy toward the nations of Africa. What African nations need most is: long term, low interest loans for the financing of vital infrastructure projects. China and other nations are contributing to this type of development; the U.S. is not.
The U.S. has lost its commitment, its vision of helping the nations of the Global South, especially Africa, to develop. Instead, they give speeches on the need for their Western version of democracy and good governance, when Africans die every day due to poverty, brought on by the lack of infrastructure. Africa is suffering from the lack of electricity, high-speed railroads, roads, hospitals, etc. The private sector is essential for economic development, but it will never finance the infrastructure required to build modern industrialized economies in Africa.
In my interview, I also discuss my visit to the Grand Ethiopian Renaissance Dam (GERD), and its significance for Africa. Ethiopia’s financing and building of the GERD, which will generate 5,150 megawatts of electricity for the Horn of Africa, can be a model for other nations.
The U.S. and the West have to move away from the insane geopolitical doctrine that views the world as a zero-sum game, which carries overtones of racism and colonialism for Africa. The true measure of the success of U.S. policies is: do they lead to an increase in the material standard of living for Africans.
The foolishness of U.S. and Western policies towards Africa is that they are shortsighted and economically thoughtless. With Africa projected to have one fourth of the world’s population by 2050, the largest number of youth, and the biggest potential workforce in the world, not to develop Africa nations is just plain stupid. The African continent can be the center of economic commerce or a breeding ground for coups and violent extremism. That future is being decided by what we do today.
Lawrence Freeman is a Political-Economic Analyst for Africa, who has been involved in economic development policies for Africa for over 30 years. He is a teacher, writer, public speaker, and consultant on Africa. He is also the creator of the blog: lawrencefreemanafricaandtheworld.com. Mr. Freeman’s stated personal mission is; to eliminate poverty and hunger in Africa by applying the scientific economic principles of Alexander Hamilton
Watch this video of Economist Jeffrey Sachs addrressing the African Union (coutersy of africanagenda.net)
Jeffrey Sachs and I agree 100% on the absolute necessity to provide long term-low interest financing for infrastructure in Africa. The global financial system, the International Monetary Fund, the World Bank, and the so called international rules based order, do not understand the importance of building infrastructure in Africa, or they don’t care, or they want Africa to remain underdeveloped.
I, like Professor Sachs, understand, that the only way forward for African nations is; development: massive investment in physical and human capital. Democracy and good governance are empty constructs, cynically meaningless words, without economic development. If one genuinely desires democracy, than you must have abundant electricity! Without real, physical economic growth, which is not possible without financing trillions of dollars of infrastructure, African nations will not realize their potential in this century.
This requires a new paradigm based on development, which I have been advocating for decades.
Excerpts from Prof. Sachs, speaking before the African Union, on February 17, 2023, in Addis Ababa, Ethiopia:
And that is that African governments should take on a lot more debt and use it to keep the kids in school, to build the electricity, to build the rail, to build the transport systems because it can`t wait. And if you do it right the growth will be rapid, so what looks like a lot of debt today , 25 years from now won`t be very much debt at all.
But the problem with my analysis obviously is that I believe that Africa needs financing on 30 year borrowing , not on 5 year Euro Bonds, which is nonsense! Because development is a 30 year process…
But you have lots of sources of capital and by the way, the cost of a thirty year loan , AAA is 3%. Imagine if Africa could finance its development at 3%. 30 year borrowing. Believe me , the issues would be finished! Because you would be on your way, this would be the biggest construction site in the whole world history, roads, power, housing, new factories.
Now the problem is that Africa right now borrows at 13% on 5 years. This Euro Bond stuff is useless, worse that useless! I wouldn`t take any borrowing with less than 20 year maturing, anything. Because you cannot run development on a year by year basis. And that is what Prof Oromo was just showing, all these [up and down/high and low] swings are just finance swings. Commodity prices are high, finance is easy, you borrow, commodity prices come down, finance is tough, then austerity. All that Africa is suffering is finance swings. (All emphasis original)
Read the full transcript below provided by PD Lawton, created of the blog: africanagenda.net
Lawrence Freeman is a Political-Economic Analyst for Africa, who has been involved in economic development policies for Africa for over 30 years. He is a teacher, writer, public speaker, and consultant on Africa. He is also the creator of the blog: lawrencefreemanafricaandtheworld.com. Mr. Freeman’s stated personal mission is; to eliminate poverty and hunger in Africa by applying the scientific economic principles of Alexander Hamilton
Celebrate Ethiopia’s March 1, 1896 Victory at Adwa- A Victory For Africa and All Nations
February 27, 2023
Below are excerpts from my brief analysis of Adwa Day, which I first wrote in 2017. It was published in the newsletter of the Ethiopian Embassy in Washington DC. I have republished it every year since, with different timely introductions.
The GERD is truly an engineering marvel that displays the most excellent characteristics of Ethiopian civilization and culture. It will be a driver for economic development in the Horn of Africa. The GERD can also serve as a nationalistic and unifying achievement for the Ethiopian people following a divisive and destructive two year war.
It is projected that in the next 2-3 years the GERD will have all 13 turbines functioning and generate 5,150 megawatts of electricity. Therefore, I suggest that upon completion of this great dam, Ethiopians, with pride, declare “GERD Day” to celebrate along with Adwa Day.
The author standing in front of a painting of the completed GERD pointing to the Amharic words that mean “Our Pride.”
Victory at Adwa-A Victory for Africa
March 1, 2017
The battle of Adwa is probably the most renowned and historic battle in Ethiopian history. This celebrated victory by the Ethiopian army helped define the future of their nation, as one of only two non-colonized countries in Africa. The defeat of a European colonial empire by an African country, following the “Scramble for Africa” after the 1884-1885 Berlin conference a decade earlier, is not only a source of enduring pride and nationalism for Ethiopians, but also an inspiration to other Africans, who took up the fight for independence six decades later. Some historians suggest that this victory also led to the idea for the Pan-African movement. As a result, it is no surprise that on May 25 1963, Ethiopia under the rule of Emperor Haile Selassie was a founding member of the Organization of African States-OAS.
Adwa, also known as Adowa, and in Italian Adua, was the capital of the Tigray region in northern Ethiopia. A late comer to grabbing territory in Africa, Italy began colonizing Somaliland and Eritrea in the 1880s. It was from the vantage point of Eritrea from where Italy launched its campaign against Ethiopia. The immediate pretext of the invasion was a dispute of Article 17 of the 1889 Treaty of Wuchale. Italy insisted that the treaty stated that Ethiopia had to submit to its imperial authority, thus effectively making Ethiopia a colony of the Kingdom of Italy. The Ethiopians resisted Italy’s military enforcement of its version of the treaty, leading to the outbreak of war in December 1894, with the Italian imperialists occupying Adwa and moving further south into Ethiopian territory. On March 1, 1896, King Menelik II, who, commanded a force of over 70,000, defeated the Italian army, killing 7,000 of their soldiers, wounding 1,500, and capturing 3,000 prisoners, routing their enemy, and forcing them to retreat back to their colony of Eritrea. It has been speculated that, if Menelik had pursued the retreating Italian troops, and driven them off of the continent, it might have prevented a second Italian invasion. On October 3, 1935, Italy led by fascist dictator Benito Mussolini, launched its second military incursion into sovereign Ethiopia territory. Five years later in 1941, Ethiopia once again drove the Italian invaders out of their country. The 1896 defeat of a European nation, considered an advanced country, by Ethiopia, viewed as a backward Africa country, led to riots on the streets of Italy and well deserved consternation in the capitals of European powers.
Without taking the time now to review the ninety years of Ethiopian history following this famous battle, the military defeat of Ethiopia’s dictatorial Derg Regime in 1991 brings us to the beginning of contemporary Ethiopia. When the Ethiopian People’s Revolutionary Democratic Front-EPRDF assumed control of the government in 1991, it was led by the now deceased, Prime Minister Meles Zenawi, who initiated the economic policies that have guided Ethiopia for over 25 years. It was…understanding the indispensable role of the state in fostering economic development that distinguishes Ethiopia today from all other sub-Saharan African nations…The state was not “a night watchman,” but rather an active participant promoting economic growth for the benefit of its people. Ethiopia is a poor country, with a population approaching one hundred million, not endowed with rich mineral or hydrocarbon resources, and repeatedly struck by drought. Yet it has emerged in recent years with a rapidly growing economy… This is clearly evident in Ethiopia’s Growth and Transformation Plans I and II, which set ambitious economic goals five years into the future, along with its proposed thirty year road construction plan. Since the EPRDF took over the responsibility of governing the nation, more than thirty new universities have been created, graduating more students that can be easily employed.
In collaboration with China, Ethiopia operates the first electrified train in sub-Saharan Africa, traveling 750 kilometers in seven hours from Addis Ababa to Djibouti, establishing a port to export Ethiopia’s products. Their highway system consisting of toll roads, highways, and all weather roads will connect their light manufacturing industries to the port in Djibouti via their new rail line. As a result of coherent policy planning in energy infrastructure, the Gibe III hydroelectric power plant has now added 1,872 of megawatts to the country’s electricity grid, and over the next two years, the Ethiopian Grand Renaissance Dam (GERD) will add an additional 6,000 megawatts, making Ethiopia the second largest producer of power in sub-Saharan Africa, behind South Africa. The next step to develop the Horn of Africa is for Ethiopia, Sudan, and Kenya to extend their rails lines to become the eastern leg of an East-West railroad. Thus would transform Africa by connecting the Gulf of Eden/Indian Ocean with the Atlantic Ocean, creating an economic corridor that would literally revolutionize the economic power of the continent; contributing to the ending of poverty, hunger, and war.
One cannot deny the success of Ethiopia’s unique path of development, nor can one omit the important role contributed to this process by Ethiopia’s successful resistance to foreign occupation; thus never having to suffer the dehumanizing effects of colonialism.
Lawrence Freeman is a Political-Economic Analyst for Africa, who has been involved in economic development policies for Africa for over 30 years. He is a teacher, writer, public speaker, and consultant on Africa. He is also the creator of the blog: lawrencefreemanafricaandtheworld.com. Mr. Freeman’s stated personal mission is; to eliminate poverty and hunger in Africa by applying the scientific economic principles of Alexander Hamilton
A worker checks readings on an energy management system, South Africa. Photo credit: National Cleaner Production Centre South Africa (Courtesy of un.org)
February 24, 2023
I am publishing below, “Industrialization is the Antithesis of Slavery” a new article by my colleague, Nancy Spannaus, creator of the blog, americansystemnow.com, because of the importance of this topic. Unfortunately, many Americans and non-Americans alike, foolishly repeat the silly and false notion that the success of the United States in becoming a great industrial power laid on the foundation of slavery. Nothing could be further from the truth. The U.S. achievement in becoming an economic power was despite, and in opposition to slavery. A progressing economy requires trained, skilled, and educated workers to operate the tasks required by productive manufacturing industries. Slave labor, exploiting the animal-muscle power of human beings only works in labor intensive occupations performed for example, in sugar, tobacco, and cotton plantations. Spannaus uses the writings of American System Economist, Henry Carey, a follower of Alexander Hamilton and advisor to President Lincoln, to elucidate the issue.
Slavery kept southern sections of the United States in backward economic conditions, that are still evident today. Slavery also contributed to a racist notion that “blacks” are inferior, affecting the U.S., such that we are still struggling with forms of racism centuries later.
To free all men and women, in Africa and in the U.S., we must exploit, if you will, the unique powers of the human creative mind. This can only be accomplished in a scientific-technologically advancing industrial economy, where every human being can be engaged in a productive profession and treated with dignity.
Lawrence Freeman is a Political-Economic Analyst for Africa, who has been involved in economic development policies for Africa for over 30 years. He is a teacher, writer, public speaker, and consultant on Africa. He is also the creator of the blog: lawrencefreemanafricaandtheworld.com. Mr. Freeman’s stated personal mission is; to eliminate poverty and hunger in Africa by applying the scientific economic principles of Alexander Hamilton
Small Modular Nuclear Reactors, developed in South Africa, can be a solution to Africa’s lack of energy (Courtesy of the International Atomic Energy Agency)
Dr Kelvin Kemm, a South African nuclear physicist, deleivers a cogent argument for nuclear energy in Africa, in his presentation below, “A Reliable Electricty Supply.,” (Provided by PD Lawton, creator of the blog: africanagenda.net)
There is no more urgent task for the nations of Africa than expanding the construction of energy plants to generate a massive increase in electricity for distribution by their national electrical grids.
W. Gyude Moore, who formerly served as Liberia’s Minister for Public Works, recently wrote:
The International Energy Agency now estimates that Asia is set to use 50% of global electricity by 2025. China, with its 1.4 billion people, who account for a majority of that. Although Africa has a comparable population to China, its 54 countries will use just 3% of global electricity. That disparity is an eloquent and concise a treatise on Africa’s poverty as there can be…By 2030 the continent is set to host 84% of the world’s extreme poor. Without access to cheap and reliable electricity as well as expensive road [and railroad] systems, Africa’s terms of trade will not improve, and its poverty will remain entrenched.
The devastating impact on the absence of electricity for African nations was also dramatically highlighted by the well-known African philanthropist, Mo Ibrahim. In a February 9th interview on Straight Talk, he explained without exaggeration, the consequential stark reality of the deficit of electricity for African nations. He said:
600 million African people are without access to electricity. Without access to electricity, you don’t have access to life. You don’t have education. You don’t have health. You don’t have businesses. You have nothing!
Gyude Moore and Mo Ibrahim, understand, as every rational human being should; without electricity, economies and nations can’t function. I will go further: people are dying in African nations today due to the catastrophic deficit in electrical generation. There is no more vital issue to be addressed by African leaders and friends of Africa around the world, than reversing the dire shortage of electrical power throughout African continent.
African Solutions For African Problems
Perhaps surprising to many Africans and Westerners alike, nuclear energy is another example of the potential of African nations to provide solutions for African problems.
Dr. Kemm points out that South Africa was a leader in pioneering the development of a Small Nuclear Reactor-SMR. South Africa designed the Pebble Bed Modular Reactor-PBMR mnany years ago, a SMR that could have been utilized throughout Africa to deliver desperately needed energy, if the program had continued.
Quoting Dr. Kemm:
So, in 1993 a decision was made to start investigating the potential in developing a Small Modular Reactor (SMR) to be placed in South African areas in which there were no major supplies of water. South Africa has minimal spare inland water.
So South Africa became the first country in the world to start designing a commercial SMR. The project grew to a significant size, with a total workforce of some 2,000 people, and by 2008 the reactor was ready to be built. The pressure vessel was ordered, and it arrived in South Africa…
African countries and others around the world became interested in nuclear power as they realised the importance of solutions which really work for African conditions, or for the local conditions of diverse countries. A few African leaders have made powerful public statements about their intention to take their countries down a nuclear path. That is totally reasonable, by using Small Modular Reactors which do not need large scale water cooling.
African countries can also easily form a collaborative ‘club’ to link to each other with daily operations, training, and regulatory oversight, amongst other functions. Such an approach will lower costs further and also induce a spirit of cooperation which will be beneficial to all.
Investors need to have the confidence in an advanced energy solution development coming from Africa. Some established mindsets need to change. The SMR from South Africa is an investment opportunity waiting for people with vision, and some courage, and who also have some self-confidence, and a belief in abundant and reliable green power for the future.
To elimiate hunger in Africa. To industrialize African economies. To lift hundreds of millions of Africans out of poverty. Africa must have nuclear energy as its power source.
Lawrence Freeman is a Political-Economic Analyst for Africa, who has been involved in economic development policies for Africa for over 30 years. He is a teacher, writer, public speaker, and consultant on Africa. He is also the creator of the blog: lawrencefreemanafricaandtheworld.com. Mr. Freeman’s stated personal mission is; to eliminate poverty and hunger in Africa by applying the scientific economic principles of Alexander Hamilton
Nigeria’s Water Minister, Suleiman Hussein Adamau (Courtesy of The Guardian)
As reported in The Guardian, on January 14, My regrets as water minister, Nigeria’s Water Resources Minister, Suleiman Adamu, regretted that all efforts by Nigerian President Buhari to get international support for the Lake Chad Inter-Basin Water Transfer, known as Transaqua, failed despite its importance.
The Transaqua water project is an inter-basin water transfer infrastructure project to refurbish the shrinking Lake Chad. This “Pan African” grand design to transport water, via a gravity canal, from the ultra moist Great Lakes Region to the arid Lake Chad Basin, would have a transformative effect on the African continent. Read: Save Lake Chad With Transaqua: Franklin Roosevelt and Kwame Nkrumah Would Concure.
According to The Guardian article, the project was designed to provide water to Maiduguri and a large part of North East region for irrigation and water supply for the next 50 years. Minister Adamu is quoted: Unfortunately, the Russia-Ukraine war diverted the attention of the international community from matters of socio-economic development.
As the most well-known American advocate and authority on Transaqua, and a collaborator of Minister Adamu for Transaqua, I can say definitively: the failure to proceed with the Transaqua project is a great loss to the entire continent of Africa.
Lawrence Freeman addressing the International Conference to Save Lake Chad in Abuja, Nigeria, Februrat 26-28, 2018
CGTN Africa, produced a two minute video that accurately describes the essential features Transaqua. Watch:Reviving Lake Chad with Transaqua. See transcription below
“…To revive one of Africa’s most important water bodies, Lake Chad. The Transaqua project was an ambitious initiative geared towards replenishing the waters of Lake Chad. It involved 12 countries working together to build a canal moving 100 billion cubic meters of water from the river Congo to the Lake every year. However, the project has yet to take off, nearly 30 years after it was conceptualized.” Then it switched to their correspondent:
“It has been over 30 years since engineers came up with an ambitious proposal to divert water from the Congo River basin to Lake Chad in central Africa to prevent the lake drying up. Since 1960, Lake Chad has shrunk to about 10 percent of its original size and the project was seen as a possible solution to the problem. The Transaqua project would involve 12 countries working together to build a 2400 km long canal to move about 100 billion cubic meters of water from the lake every year. Nigerian President Mohammed Buhari led the initiative, supported by countries that are members of the Lake Chad Basin Commission, namely Cameroon, Chad, Niger, Nigeria, Algeria, and Central Africa Republic. The canal was also intended to generate hydro-electricity at several points along its length. It was also seen as a solution to its security crisis caused by the Boko Haram insurgency. The project would help reduce conflicts over water and instability in the Lake Chad region. The estimated cost of the project was 50 billion USD, but the project has yet to come to fruition. The Democratic Republic of Congo has opposed the project and a section of French scientists say the large scale project could cause irreversible environmental damage.”
“The Transaqua project remains in this planning and feasibility study stage. Today, the Lake Chad basin supports more than 30 million people; this means that if it is actually accomplished, the Transaqua project will change the face of Africa, for better or for worse.”
Lawrence Freeman is a Political-Economic Analyst for Africa, who has been involved in economic development policies for Africa for over 30 years. He is a teacher, writer, public speaker, and consultant on Africa. He is also the creator of the blog: lawrencefreemanafricaandtheworld.com. Mr. Freeman’s stated personal mission is; to eliminate poverty and hunger in Africa by applying the scientific economic principles of Alexander Hamilton
Ethiopian Prime Minister, Dr Abiy Ahmed with Chinese Foreign Minister, Qin Gang, in Addis Ababa (Courtesy of VOA)
For the thirty-third consecutive year, the first foreign trip by China’s Foreign Minister was to Africa. China’s new Foreign Minister, Qin Gang, the former Ambassador to the United States, traveled to Ethiopia, Gabon, Angola, Benin, and Egypt, from January 9 to 16, 2023. In addition to visiting these five African nations he was also invited to meet with African leaders at the African Union and the League of Arab States Headquarters. The stated purpose of the trip was: To deepen the China-Africa comprehensive strategic and cooperative partnership and boost friendly cooperation between China and Africa.
Friendship Remains Strong
Starting in the year 2000, China organized the Forum on China-Africa Cooperation (FOCAC), which meets every three years, alternating between China and Africa. These conferences provide a unique opportunity for African leaders and Chinese President, Xi Jinping, to discuss future economic, cultural, and political collaboration. Contrary to continued efforts by the U.S. to malign Africa-China cooperation, China and Africa have remained steadfast in their shared common interest; the development of their people.
Chairperson of the African Union Commission, H.E. Moussa Faki Mahamat, and Qin Gang at ribbon cutting ceremony at the new Africa CDC. (Courtesy of African Union-au.int)
One of the highlights of Foreign Minister Qin Gang’s visit to Ethiopia, was to inaugurate the new Headquarters of the Africa Center for Disease Control and Prevention (Africa CDC). The new Africa CDC, located outside of Addis Ababa, the capital of Ethiopia, was built by China and given as a gift to Africa.
This is a critically important contribution to Africa, a continent of one and a half billion people, which was given a very low priority for vaccinating against COVID 19, and continuously suffers from a weak healthcare system.
Foreign Minister Qin met with Ethiopia’s Prime Minister, Dr. Abiy Ahmed, and Deputy Prime Minister and Foreign Minister Demeke Mekonnen. He was the first foreign government official to visit Ethiopia following the signing of the peace agreement of November 2, 2022, that ended a two year long war in northern Ethiopia. He expressed China’s support for “Africans in solving African problems in African ways.” This attitude differs dramatically from the U.S. and Europe, who undermined the government of Ethiopia during the war. Foreign Minister Qin pledged to assist Ethiopia in its reconstruction efforts, which are formidable following the terrible damage that the country suffered in fighting to maintain its sovereignty. Additionally, he announced that China will forgive thirty million dollars in Ethiopian debt.
In December 2022, the U.S. convened its first U.S.-Africa Summit in eight years. The unspoken “secret topic” and motivation for the three-day conference was, how to counter China’s growing influence on the African continent.
There are yet to be any “deliverables” from the U.S.-Africa Summit. While the Biden administration seems to be more focused on exporting the “infrastructure of democracy,” China is building and financing more hard infrastructure projects in Africa than the rest of Western nations combined. These projects impact the daily material needs of the African people, which is essential to eliminate poverty on the continent.
China-Africa Trade Not Debt
China’s trade with Africa during 2022 expanded to its largest single year total of $282 billion. China exported $164.5 billion to Africa and imported $117.5 billion over that twelve-month time, which represented an increase of 11% over 2021. From January to November of 2022, U.S. exports to Africa, were $28.5 billion and imports of $38.9 billion for a total trade of $67.3 billion, almost no increase over 2021. Thus, U.S. trade with Africa was approximately one-fourth that of China for 2022. If the U.S. intends to counter or challenge China in Africa, it will have to do a lot more than “exporting democracy.”
As you can see from the chart below the myth spun by Western officials and the media that China is primarily responsbile for Africa’s debt, is simply not ture. This intentionally false allegation has been refuted again and again, but Western governments continue to propagandize Africa nations that China is using a ‘debt-trap’ diplomacy to seize their resources. Chinese ‘Debt Trap” is a Myth-Biden Would be Wise Not to Continue Trump’s Attacks on China in Africa,
The total outstanding debt for sub-Saharan African nations to foreign entities totals: 454.4 billion USD. China is not even close to being the largest debt holder. China owns 79 billion USD of sub-Saharan Africa’s debt, less than one firth-17%. The debt held by bondholders, the World Bank, and the IMF, equals 286.9 billion USD,-63% of the total foreign debt of sub-Saharan Africa,
Courtesy of Reuters Graphics
Investing in Manufacturing
Contrary to Western propaganda, which accuses China of stealing Africa’s resources, China is actually expanding Africa’s manufacturing sector. This is a vital contribution since African nations suffer from an anemic production capability to add value their natural resources. A good example is the investment by Dinson Iron and Steel Company (DISCO), a Chinese steel manufacturer, who intends to invest in building a lithium battery manufacturing plant in Zimbabwe. chinese firm to manufacture lithium batteries in zim. The Zimbabweangovernment has wisely banned the export of raw lithium. Having its own manufacturing plant, will create jobs and improve the standard of living of Zimbabweans, since mining and export of valuable minerals does not lead to economic growth for the population.
This kind of investment in local manufacturing along with China’s Belt and Road strategy of building infrastructure throughout Africa, is exactly what is needed to assist African nations in creating strong sovereign economies.
Lawrence Freeman is a Political-Economic Analyst for Africa, who has been involved in economic development policies for Africa for over 30 years. He is a teacher, writer, public speaker, and consultant on Africa. He is also the creator of the blog: lawrencefreemanafricaandtheworld.com. Mr. Freeman’s stated personal mission is; to eliminate poverty and hunger in Africa by applying the scientific economic principles of Alexander Hamilton
The spaceport, expected to include seven satellite launch pads and three rocket testing pads, will be the first orbital spaceport on the continent.
Africa is entering a very exciting period in which it is asserting its scientific and engineering capabilities. Humankind’s exploration of space is the highest form of human discovery of the universe, and introduces into society new advanced technologies. With the completion of Ethiopia’s Grand Renaissance Dam in 2025, a scientific-engineering marvel, and the creation of Djibouti’s spaceport in five years, Africa is demonstrating its leadership for the 21st century, and creating the scientific foundation for economic growth.This is true sceintific-econimic progress for the nations of Africa, whcih should make all poeple, of all nations happy.
Janary 23, 2023, Quartz Africa Weekly
Excerpts follow:
Africa could soon get a new spaceport after Djibouti signed a partnership deal with Hong Kong Aerospace Technology to build a facility to launch satellites and rockets in the northern Obock region.
According to the preliminary deal, the Djibouti government will “provide the necessary land (minimum 10 sq km and with a term of not less than 35 years) and all the necessary assistance to build and operate the Djiboutian Spaceport.”
The $1 billion spaceport project will also involve the construction of a port facility, a power grid and a highway to ensure the reliable transportation of aerospace materials.
The deal’s signing was presided over by the president of Djibouti, Ismail Omar Guelleh, and the project is set to be completed in the next five years.
The spaceport is a massive milestone for Africa, making it the first orbital spaceport on African soil.
The Djibouti spaceport project
According to Victor Mwongera, Head of the Department of Mechanical Engineering at Kenyatta University, the projection will avail a launch base that will serve all Africans.
“It will push eastern Africa off the sleeping state as far as active development of space-based innovations are concerned,” he explained.
Trial and small-scale launches have been executed in Africa in the past, including the Italian-operated Broglio Space Centre (San Marco) in Malindi, Kenya and Algeria’s Reggane.
Mwongera sees the expansion of Africa’s space industry—with a number of African countries already building and operating their own microsatellites—as a growing trend.
“It has taken time but we needed time as a continent to be ready for this age. Now that we are ready, you are seeing the number is increasing and it is bound to increase further,” he said.
Africa’s space industry is a billion dollar sector
According to the 2022 annual sector report of research firm Space in Africa, the value of the African space and satellite industry has risen to more than $19.6 billion.
The charge is fuelled by 14 countries that have launched 52 satellites into space.
South Africa, Egypt, Algeria, and Nigeria have the highest number of satellites in space as of 2022, each having launched more than five satellites.
Mwongera explained that east African countries are well positioned to harbor more spaceports, due to their proximity to the equator.
“At the equator… there is minimal energy required,” he said.
Lawrence Freeman is a Political-Economic Analyst for Africa, who has been involved in economic development policies for Africa for over 30 years. He is a teacher, writer, public speaker, and consultant on Africa. He is also the creator of the blog: lawrencefreemanafricaandtheworld.com. Mr. Freeman’s stated personal mission is; to eliminate poverty and hunger in Africa by applying the scientific economic principles of Alexander Hamilton
Hermela interviews Steven Were Omamo, who was director of the World Food Program (WFP) in Ethiopia during the two year war in northern Ethiopia. In his new book, At the Center of the World in Ethiopia, he refutes the accusations of famine in Tigray and deliebate starvation by the government of Ethiopia. These blantantly lies included the compleltely unfounded claims of genocide in Tigray, repeated incessantly by Western media and governments, which started mere days after the war began in Novmeber 2020 and continue to the present. Mr. Omamo, who was there, on the ground, says there was never suffcient evidence to make this false allegations of famine and deliberate starvation. As I, and others knew at the time, it was all geopolitical propaganda aimed at regime change of the government of Ethiopia and Prime Minister Abiy Ahmed. It is refreshing that now the truth is coming out!
Lawrence Freeman is a Political-Economic Analyst for Africa, who has been involved in economic development policies for Africa for over 30 years. He is a teacher, writer, public speaker, and consultant on Africa. He is also the creator of the blog: lawrencefreemanafricaandtheworld.com. Mr. Freeman’s stated personal mission is; to eliminate poverty and hunger in Africa by applying the scientific economic principles of Alexander Hamilton
